Personal injury cases can take a long time to settle and can be financially draining. Many plaintiffs struggle with everyday bills, like food and rent, and medical expenses while waiting for their lawsuit to settle. This is where guaranteed pre-settlement funding comes in. It offers cash advances to plaintiffs without credit checks, employment verification, or repayment risks.
According to a study by Legal Funding Network, over 60% of plaintiffs who apply for pre-settlement funding do so to cover medical bills and living expenses. Unlike traditional loans, pre-settlement funding is non-recourse, meaning if you lose your case, you owe back nothing.
This guide will cover everything you need to know about guaranteed pre-settlement funding, how it works, its benefits, considerations, and how to choose the best funding provider.
What Is Guaranteed Pre-Settlement Legal Funding?
Guaranteed pre-settlement funding is a cash advance provided to plaintiffs involved in a pending lawsuit. This funding helps cover medical bills and living expenses, like rent and car payments, as well as other financial obligations while waiting for a case to settle.
Unlike traditional loans, pre-settlement funding is risk-free—if you lose the case, you don’t have to repay the advance.
Key Features:
- No credit check or employment verification
- Funds available within 24-48 hours
- Repayment only if you win the case
How Does Guaranteed Pre-Settlement Funding Work?
The funding process is fast and straightforward, typically following four key steps:
Step 1: Application – The plaintiff applies online by submitting basic case details.
Step 2: Case Review – The funding company reviews the case’s strength and expected settlement, and begins collaborating with the legal team to verify case details.
Step 3: Approval & Disbursement – If approved, funds are sent within 24-48 hours.
Step 4: Repayment – If the case is won, the funding is repaid from the settlement. If the case is lost, you owe nothing.
Guaranteed vs. Standard Pre-Settlement Funding
| Feature | Guaranteed Pre-Settlement Funding | Standard Pre-Settlement Funding |
| Risk Level | Zero risk (no repayment if you lose) | May require partial repayment |
| Approval Time | 24-48 hours | 3-5 days |
| Credit Check? | No | Sometimes required |
| Attorney Involvement | Mandatory | Recommended |
| Interest Rates | Fixed | Can vary |
Types of Cases Eligible for Pre-Settlement Funding
Pre-settlement funding applies to various types of legal cases, including:
✔ Personal Injury (car accidents, slip-and-fall cases)
✔ Medical Malpractice
✔ Wrongful Death
✔ Workers’ Compensation
✔ Product Liability
✔ Employment Discrimination & Harassment Lawsuits
Each case is evaluated based on the likelihood of settlement success and the potential payout amount.
Advantages of Guaranteed Pre-Settlement Funding
At the time of injury, the most important aspect is immediate care; guaranteed pre-settlement funding ensures there is no delay.
Below are some of the clear and immediate benefits of getting the right pre-settlement funding at the right time:
- Quick access to funds – Receive cash within 24-48 hours.
- No credit check or employment verification – Funding is based on case strength, not personal finances.
- No monthly payments – Repayment is made only if you win.
- Alleviates financial stress – Helps cover rent and other bills, as well as medical expenses.
- Maintains attorney-client relationship – Ensures plaintiffs can wait for fair settlements without pressure to settle early.
Considerations Before Obtaining Pre-Settlement Funding
Before applying for pre-settlement funding, plaintiffs should consider:
- Case strength – The stronger your case, the higher the funding approval.
- Fees and repayment terms – Some companies charge high fees—compare rates carefully.
- Impact on settlement – Taking an advance may affect final settlement negotiations.
- Company reputation and transparency – Always choose trusted legal funding providers.
- Alternative options – Consider personal savings, credit cards, depending on your interest rate, or financial aid before applying.
How to Apply for Guaranteed Pre-Settlement Funding: Full Process Explained
Step 1: Initial Research & Choosing a Provider
Start by researching reputable pre-settlement funding companies. Look for those with transparent terms, positive reviews, and no hidden fees. It’s important to compare offers and understand how each provider operates.
Step 2: Online Application Submission
Once you select a provider, you’ll fill out an online application form. This typically requires basic personal information, case type (e.g., car accident, slip & fall), date of the incident, and your attorney’s contact information.
Step 3: Initial Case Review by the Funding Provider
The funding provider does a preliminary check to determine if your case type qualifies. They’ll verify basic eligibility before proceeding to the next stage.
Step 4: Attorney Communication & Detailed Case Evaluation
The funding company contacts your attorney to gather more in-depth information like liability, damages, insurance coverage, and legal documents. Your attorney must be cooperative, as their input heavily influences approval.
Step 5: Underwriting & Risk Assessment
A team of underwriters reviews your case, assesses its likelihood of success, and calculates the potential settlement amount. This risk analysis determines how much you’re eligible to receive in advance.
Step 6: Offer Presentation
If your case is approved, the provider presents a funding offer that outlines the advance amount, fees, and repayment terms. You and your attorney should carefully review these terms before signing.
Step 7: Agreement Signing & Legal Review
Once you accept the offer, legal contracts are sent. Your attorney typically reviews and co-signs the agreement to ensure everything is in order and your interests are protected.
Step 8: Fund Disbursement
After all documents are signed, the provider transfers the funds to your designated bank account. This usually happens within 24 to 48 hours, providing quick financial relief.
Step 9: Using the Funds
You can use the funds for any personal needs, medical bills, rent, groceries, or daily living expenses while waiting for your case to be resolved. There are no restrictions.
Step 10: Ongoing Case Updates (if needed)
Some providers may request periodic updates on your case, especially if it extends for several months. These updates come from your attorney and do not require any action from you.
Step 11: Case Settlement or Judgment
Once your case settles or a judgment is awarded, your attorney receives the funds and handles disbursements. This includes repaying the advance from the proceeds, along with any agreed-upon fees.
Step 12: Repayment (Only If You Win)
Repayment is only required if you win or settle your case. If you lose, the funding is non-recourse, you owe nothing. The funding company absorbs the loss.
How to Select the Best Pre-Settlement Funding Provider
Choosing the right pre-settlement funding provider means finding one trusted by both legal and medical professionals. The most reliable companies operate on transparent, unbiased platforms that help ensure quick, fair access to funds. Before making a decision, consider taking the following steps to evaluate your options.
1. Research and compare funding companies – Check customer reviews, interest rates, and terms.
2. Read contracts carefully – Look for hidden fees or unfavorable repayment terms.
3. Seek legal advice – Your attorney should review the agreement before signing.
4. Compare funding rates – Opt for lower rates to maximize your final settlement amount.
5. Evaluate customer support – Choose a responsive and reputable provider.
6. Check licensing and compliance – Ensure the company meets state and federal regulations.
Gain Servicing has been a trusted platform for plaintiffs in such cases since 2011. With no hassle on case management, you focus on proper care and recovery. Get in touch now.
The Role of Your Attorney in the Funding Process
Your attorney plays a crucial role in the funding process by:
1. Relaying case details – Attorneys submit case-related documents for evaluation.
2. Assessing funding options – They help determine whether funding is necessary.
3. Reviewing legal agreements – Attorneys ensure fair terms before you sign.
4. Managing settlement funds – Ensures repayment is handled correctly after winning the case.
FAQs
Why you may need pre-settlement legal funding?
Plaintiffs often need financial support while waiting for settlement payouts.
Where does fund repayment come from?
Repayment comes directly from the settlement amount—you don’t pay out of pocket.
Is pre-settlement funding a loan?
No, it’s a non-recourse advance—you only repay if you win.
Does my attorney need to approve this transaction?
Yes, attorneys must cooperate and provide case details.
How long does it take to receive pre-settlement funding?
Most cases are funded within 24-48 hours after approval.
Is there a pre-settlement payment limit?
Limits vary—most companies fund 10-20% of the expected settlement.
How do I find the best pre-settlement funding company?
Look for transparent contracts, low fees, and strong customer reviews.
Conclusion
Guaranteed pre-settlement funding offers financial relief to plaintiffs awaiting lawsuit settlements. Unlike traditional loans, it is risk-free, requiring no repayment if the case is lost. Choosing a reliable legal funding company helps ensure transparent terms and lets you keep more of your settlement..
If you’re considering pre-settlement funding, compare providers carefully, consult with your attorney, and choose a company with fair rates and clear terms.
